Micron Technology continued to generate profits in its second quarter of fiscal 2010, the second quarter in a row after three years of losses. The computer-memory chipmaker has reported net income of US$365 million for the fiscal second quarter, showing a 79% rise from US$204 million in the prior quarter and a return to profitability from losses of US$763 million a year earlier.

Micron saw revenues for the quarter ended March 4, 2010 grow to US$1.96 billion, up from US$1.74 billion for the first quarter of fiscal 2010 and US$1.0 billion for the same period of fiscal 2009. Company chairman and CEO Steve Appleton attributed the results to the combination of an improving market, strong operational performance, advanced technology and a broad product portfolio.

Micron said revenues from sales of its DRAM products increased 24% sequentially in the second quarter of fiscal 2010, thanks to a 17% growth in unit sales volume and a 7% rise in ASPs. However, revenues from sales of its NAND flash products were down slightly in the quarter compared to the fiscal first quarter, due to a slight decrease in ASPs.

Micron noted as a result of an overall increase in ASPs as well as decreases in manufacturing costs, its gross margin on sales of memory products improved from 27% in the first quarter to 35% in the second. It generated US$804 million in cash flows from operations in the second quarter of fiscal 2010, and ended the quarter with cash and investments of approximately US$1.9 billion.

By: DocMemory
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